The respondent/complainant J&K State Financial Corporation has filed a complaint for commission of offence under section 138 of the Negotiable Instruments Act against the petitioner/accused before the Court of learned City Judge, Judicial Magistrate Ist Class, Jammu on the allegations that the petitioner/accused had set up an Industrial Unit at Kaluchak, Jammu after having been financed by the complainant/Corporation. The accused/petitioner was to re-pay the installments due to the complainant corporation and in regard thereto issued a cheque No. 675977 dated 7-12-2002 for an amount of Rs 80,000/- in favour of the complainant/State Financial Corporation. The complainant deposited the said cheque drawn on the Citizens Cooperative Bank Ltd, Gangyal, Jammu on 9-12-2002 through its Banker, the Jammu & Kashmir Bank Ltd. The cheque was dis-honoured and returned with a memo to the complainant/Corporation. The complainant issued a notice dated 22-12-2002 by registered post for demanding the payment of the cheque within a period of 15 days from the date of receipt of notice, but the accused did not take any steps to liquidate the amount of Rs 80,000/- within the stipulated period of 15 days

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